Did you know that a chicken in Venezuela cost nearly 14 million Bolivar which is equivalent to nearly 2 lakh rupees? Well, this is the perfect example of inflation or more categorically hyperinflation. Inflation is a situation where too much money can buy too few goods. To put it simply, the value of money deteriorates in comparison to international currency transactions. No matter how much money is put into circulation, it does too little for economic demand and supply. Inflation is common to all major economies but when it accelerates to hyperinflation or leads to deflation it could result in debilitating effects on the economy.

Sruthy Santhosh

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